[x95stacey]

Just saw on the Chrysler website they are offering 0% for 60 months on Pacifica. Was this ever offered before or is it the 1st time?

 

[generaltso]

Just saw on the Chrysler website they are offering 0% for 60 months on Pacifica. Was this ever offered before or is it the 1st time?

First time. The 0% offer maxed out at 36 months previously. You still have to give up the $1500 retail cash, but if you would be financing for 60 months anyway, the math may work out better to do 0%.

 

[Norbert]

Is it better to get the 0% or the $2000 rebate?

 

[Plano pacificas]

Edmunds.com has a calculator that breaks it down on choosing the APR or the rebate

 

[mtmgtz]

First time. The 0% offer maxed out at 36 months previously. You still have to give up the $1500 retail cash, but if you would be financing for 60 months anyway, the math may work out better to do 0%.

I think it's $2,000 retail cash if you take non-promotional Chrysler financing (was $2,500 total last month). If you took the $2k and refinanced say $35k elsewhere for 60 months @ 2.24% (what my local credit union is offering), you'd pay about right at $2k in interest. If you pay it off earlier than that, even by just a few months, you'd be better off taking the $2k retail cash.

 

[generaltso]

Is it better to get the 0% or the $2000 rebate?

It completely depends on your specific situation. The answer will be very different if you're financing $5000 or $45,000. Generally, I prefer instant rebates over special interest rates because you're guaranteed the savings. If you're adding up the savings in interest over 5 years, you have to actually have the loan for the full 5 years to fully realize those savings. If you trade in the car after 3 years, you probably would have saved more by taking the rebate. $1500 is nothing to sneeze at.

 

[generaltso]

I think it's $2,000 retail cash if you take non-promotional Chrysler financing

$500 of that is Chrysler Capital cash, which you still get if you take the 0% rate. So the difference that you give up by taking that rate is $1500.

 

[Norbert]

I can probably get something around 1.5%. That's what they gave me last year when I bought my daughter a Wrangler. But I don't keep my cars that long, so it looks like the rebate is a better deal.

 

[generaltso]

I can probably get something around 1.5%. That's what they gave me last year when I bought my daughter a Wrangler. But I don't keep my cars that long, so it looks like the rebate is a better deal.

Go to a loan calculator site and do the math for your specific situation. But if you don't keep cars that long, I highly doubt the 0% option is going to be a better deal for you.

 

[mick0212]

Very interested to see this today. Seems to be about a wash when I estimate the cost of a Touring and local credit union interest rates of 2.5% or so.

0% seems to be only 36 months on the Limited, 60 months on Touring, T-L, T-L+ and Limited

 

[mtmgtz]

V
0% seems to be only 36 months on the Limited, 60 months on Touring, T-L, T-L+ and Limited

I think you meant 0% for 36 months is for the LX. All other models are 60 months.

 

[BVM]

Unify FCU is 0.79% for 36 mo. Better than paying cash, that's for sure.

 

[generaltso]

Unify FCU is 0.79% for 36 mo. Better than paying cash, that's for sure.

Not sure I understand. What makes it better than paying cash?

 

[mtmgtz]

Not sure I understand. What makes it better than paying cash?

I assume BVM meant that you'd be better off taking the low interest loan and investing your cash into a retirement account or something else that bears a higher interest rate.

 

[BVM]

Yes exactly. To clarify even further, finance through the dealer with the terrible ~5% APR Chrysler Capital rate for the $500- $1000 rebate, then immediately refinance with Unify for 0.79% for 36mo. Then invest the cash, assuming you have it.

 

[Jerith]

This is all a pocket to pocket cash game.


First you get the big number discount. Then the medium discount with short term low rates. Then the tiny discount with long terms with 0% rates. All that is happening (in general) is the program discounts are pushed into the rate buy-down to invent the lower rates.


What this creates is a pendulum swapping between owner situations. Some come with cash or pre-approved loans, so the discount cash is preferable. If you can only pay by payment the low rate is the only way to go. The math comparison should still be investigated in case Program HQ didn't sharpen their pencil, or could be responding too quickly to a competitors ad campaign.

 

[kungfuron]

I wish I had found this forum earlier but I think I got a decent deal on my Limited, I paid 7.25% off of MSRP and got 0 down, 0% for 84 months.

This was in Calgary, Alberta, Canada.